The main purpose of this paper is to assess, as far as the data allow, whether there has been a “step change” in the improvements of the NHS since 1997, given the undoubted “step change” in the level of funding. Under the previous 1992-97 Major Government, there were undoubtedly advances in health outcomes and increased NHS activity rates (see chapter 3), despite the tight spending plans, and the NHS was far from in a state of “collapse” when the Labour Government took over in 1997.